Impressive rise in transaction volume this year against last.
The number of online Visa card transactions increased 52 per cent in the first eleven months of the year compared to the same period last year, the card company announced.
Such growth is impressive but still not on par with the enormous potential Vietnam holds. According to Mr. Sean Preston, Visa Country Manager for Vietnam, Cambodia, and Laos, as the internet and smartphones become an integral part of daily life for Vietnamese people there will be a growing trend where consumers spend more time and money shopping online.
Mr. Preston revealed that 19 per cent of Visa's payment volume from Vietnamese cardholders came from e-commerce. "This positive growth is not only good for online retailers, it also points towards the health of the economy overall," he said, adding that the younger generation is now looking for non-cash payment methods to shop and pay their bills as they start having more disposable income and become more tech-savvy.
The growth in electronic payments and online transactions in Vietnam contributes a great deal to economic activity by reducing transaction costs and improving efficiency in the flow of goods and services. Merchants also benefit because there is less cash in the system, relieving the burden and risks associated with handling cash. However, the process of promoting non-cash payments and expanding merchant networks cannot be achieved overnight and will take time and joint efforts by authorities, service providers, and consumers.